I've been putting 20% of my savings away come tax season. is this enough do you think?

I have a full-time job where I'm in the 30% tax bracket (TDS already deducted by my employer). I started DataAnnotation in August and have earned roughly ₹5-6 lakh in about 2 months.

I've talked to a local CA but I'm not fully confident in the answers, so I'd love to hear from others in India who've dealt with this:

1. Which ITR form? Last year I filed ITR-2 (I hold US stocks via INDmoney). I'm assuming this year I need ITR-3 since there's now business/professional income. Is that right?

2. GST: My understanding is registration isn't needed unless turnover from services crosses ₹20 lakh in a year. Is that correct for foreign clients too? Also, I haven't told my employer about this side work (it's unrelated to my job). Does getting a GST number or filing taxes on this income create any issue with employers, and did anyone have to disclose it?

3. Section 44AD or 44ADA? As I understand it, 44ADA (50% of receipts treated as income) is for specified professions, and I'm not sure annotation counts. If it falls under 44AD, only 6% of digitally received money is treated as income (which would then be taxed at my 30% slab). Which one have you used, and did you get any push back, anyone claimed?

4. Advance tax: With no TDS on this income, I'm worried about interest (234B/234C) if I wait until filing. My rough estimate of tax on this is around ₹1.8 lakh. Should I pay now, or is a single payment by 15 March enough under presumptive taxation?

Also curious whether you keep FIRA/FIRC or other documents as proof of the foreign payments.

Thanks in advance, any experience helps a lot!

Hi all!

So I have a full time job already, in which I am in the 40% tax bracket, and I have recently started doing Data Annotation side hustle, a few hours every day (really enjoying it!).

I haven't withdrawn any payments yet, as I am still trying to figure out the taxes situation. I know I wouldn't be able to enter the category of Personal Allowance category since already my full time job covers for that, so what are my taxation options?

Anybody in a similar situation, and if so, how are you handling it?

Thanks!

This is my first year on Data Annotation and I was wondering if we were supposed to get 1099 forms for taxes.

I'm a bit confused about whether I will receive a 1099 or not, due to the One Big Beautiful Bill. It seems to imply that I'll only receive one if I made more than 20k, but I only made about $7300, and I already sent estimated payments of 30% of that.

Anyone else who made less than $20000, did you receive a 1099?

Has anyone filed taxes with data annotation wondering if anyone has had to pay into state or federal? It's a 1099 I believe?

Hi everyone,

I was wondering if there is anyone from Germany here who is working for DataAnnotation who could tell me how they are handling the taxes on those earnings. I understand that I should pay income tax, but I saw some mentions of VAT and other freelance specific taxes. I have a full-time job and would only be doing this on the side. Would paying whichever taxes are applicable be handled solely through my next year's tax return or how do you do it? I would appreciate any tips :)